Lanka IOC to open 50 more fuel stations

• To invest Rs.2bn to expand fuel station network 
• Says ready to play a larger role to support and work with Sri Lanka to resolve its challenges

Lanka IOC PLC, the smaller and private sector player in Sri Lanka’s fuel supply duopoly, said it has received the approval from the Sri Lankan government to open 50 new fuel stations in the country. 

Lanka IOC is a subsidiary of India’s state-owned Indian Oil Corporation.
Talking to Reuters, Lanka IOC Managing Director Manoj Gupta had said the company would invest about Rs.2 billion to expand its fuel station network, which already has 216 fuel stations, by 50 new stations.

“We have been trying for some time to get this approval and we are more than willing to come forward and play a larger role to support and work with Sri Lanka to resolve its challenges,” Gupta was quoted as saying. 

State-owned Ceylon Petroleum Corporation (CPC) operates about 1,190 fuel stations throughout the country. 
Meanwhile, following a decision by the Sri Lankan government to open up the fuel distribution market to more plyers, foreign media reported that China’s biggest petrochemical company Sinopec is likely to enter the Sri Lankan market.

The Cabinet of Ministers in June approved a proposal to allow more companies from oil-producing nations to import oil and start retail operations in Sri Lanka.

At present, 90 percent of Sri Lanka’s fuel supply is through CPC and the remaining 10 percent is by Lanka IOC.